So hows this affecting my Fico score?

[AzCreditGuy]

My Discover card officially turned 1 year old today, the past 2 months I have been applying for a credit line increase and keep getting denied due to: “insufficient experience with current Discover credit card limit”

The Key Factors and my Credit score at the time 685 and they seemed to be pulling from April 27th 2020
“length of time accounts have been established”
“% balance of credit card limit too high on revolving accounts”
“proportion of loan balances to loan amounts is too high”
“too many accounts with balances”
“ number of inquires on credit bureau”

Well I got a letter again for the same denial and this time they pulled from May 28, 2020 credit score is 707 and the key factors below:
“length of time accounts have been established”
“% balance of credit card limit too high on revolving accounts”
“proportion of loan balances to loan amounts is too high”
“ number of inquires on credit bureau”
And the added a new one
“too many consumer finance company accounts”

This is all coming from Transunion

Oldest account is 5 years and 5 month

Newest accounts will be 1 year old in July 

I have had a SOFI personal Loan for about a year now and that is the only personal loan I have, no auto or closed personal loans at all.
I have 2 inquiries on Transunion and 1 will no longer affect my scores in June and the other in July since they will turn 1 year old.

I have 7 credit cards and carry balances on 4 credit accounts with a 0% apr promo for the time being Finances over Fico
I have 1 personal loan with Sofi and carry a balance with that loan as well.

So what is really affecting my credit score with these key factors and why add “too many consumer finance company accounts”?

[Anonymous]

Age is harming you the most, utilization is harming you the second most, your high loan balances are affecting you next, then your inquiries and then your CFA‘s.

They are affecting you in that order of precedence. Apparently the sofi loan is a CFA and it probably hasn’t appeared before because the other codes were hiding it. You only get so many. Speaking of which, where did you get 5 negative reason codes?

[AzCreditGuy]

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@Anonymous wrote:
Age is harming you the most, utilization is harming you the second most, your high loan balances are affecting you next, then your inquiries and then your CFA‘s.

They are affecting you in that order of precedence. Apparently the sofi loan is a CFA and it probably hasn’t appeared before because the other codes were hiding it. You only get so many. Speaking of which, where did you get 5 negative reason codes?

Well I am aware of the first 3 the last 2 dont make sense...I got these codes from Discover card when they sent me a denial letter for CLI based on Transunion information, which is my lowest score of my Ficos

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[Anonymous]

Why don’t the last two make sense? Do you have inquiries less than a year old on TU? If so, that explains number 4. As for number 5, it’s saying you have a CFA somewhere, which is a loan from a certain class of lenders and unless you have others, it could be that sofi.

[AzCreditGuy]

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@Anonymous wrote:
Why don’t the last two make sense? Do you have inquiries less than a year old on TU? If so, that explains number 4. As for number 5, it’s saying you have a CFA somewhere, which is a loan from a certain class of lenders and unless you have others, it could be that sofi.

I have 1 inquiry on TU that will be a year old in July, the langauge of many INQs is absurd. Yes TU is saying too many CFA again  since SOFI would be the only installment loan I have and to classify it CFA after a year is absurd too. 

TU is garbage I searched CFA on the board and go this "The CFA being on a report will not damage a fico 08 score, but will cause a hit to other score models that are currently used for mortgages. For fico 08, and fico 09, a CFA is considered the same as any other installment loan. Only the earlier versions differentiate CFA loans from Bank loans. If seeking a mortgage in the future CFA loans should be avoided, and even some loans obtained from auto manufaturers is considered a CFA, I know Honda financial is a CFA...learned that the hard way.   PS::: CFA accounts hurt the earlier score model even after being paid off, with perfect payment history until it drops off the credit report...the mere existance of a CFA account is considered a negative on these models" From this thread https://ficoforums.myfico.com/t5/Understanding-FICO-Scoring/Personal-Loans-hurt-your-credit-Truth-or-Myth/td-p/5711031

I had planned on getting a Mortgage in the next 6 to 9 months

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[Anonymous]

“length of time accounts have been established” -- You have a short average account age. Time is the only thing that will fix it. 
“% balance of credit card limit too high on revolving accounts” Get revolving accounts under 28.9% and aggregate under 8.9% - you may look into AZEO as well since you're looking to go for a mortgage
“proportion of loan balances to loan amounts is too high” SoFi loan balance is affecting this - reason code won't likely go away until the balance is under 8.9%
“ number of inquires on credit bureau” - Even one inquiry can cause this reason code because there was a point loss and these codes are ranked from highest to lowest effect on score
And the added a new one
“too many consumer finance company accounts” Okay so people get really up in arms with this one and I get it. I ended up having a personal loan I took get coded this way too. Any time you take a loan that isn't from a bank or CU, you're risking it being categorized as a CFA. There is nothing you can do about this, just accept it and move on.

AZEO and paying down that personal loan are the best moves you can make for your profile right now. 

[AzCreditGuy]

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@Anonymous wrote:

“length of time accounts have been established” -- You have a short average account age. Time is the only thing that will fix it. 
“% balance of credit card limit too high on revolving accounts” Get revolving accounts under 28.9% and aggregate under 8.9% - you may look into AZEO as well since you're looking to go for a mortgage
“proportion of loan balances to loan amounts is too high” SoFi loan balance is affecting this - reason code won't likely go away until the balance is under 8.9%
“ number of inquires on credit bureau” - Even one inquiry can cause this reason code because there was a point loss and these codes are ranked from highest to lowest effect on score
And the added a new one
“too many consumer finance company accounts” Okay so people get really up in arms with this one and I get it. I ended up having a personal loan I took get coded this way too. Any time you take a loan that isn't from a bank or CU, you're risking it being categorized as a CFA. There is nothing you can do about this, just accept it and move on.

AZEO and paying down that personal loan are the best moves you can make for your profile right now. 

@Anonymous I am aware of 4 out of the 5 I should have put "Finances over Ficos" on the post as this planned with the balances. 5 years of credit history and opening new cards and loans last year dropped my age. 

Its been an interesting morning, after getting off the phone with TU, who directed to me Fico support. It is now Fico support who telling me that it is how the lender is coding or wording the loan. Rep talked to a supervisor to confirm this after I asked why Fico would key factor  a personal loan as a CFA? I emailed the CEO of SOFI as they have been great at getting back and answering any questions I have my on loan. 

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[Anonymous]

I really hate to burst your bubble but there is nothing anyone can do for you. You're just wasting your time. If this was a battle that could be won, someone would have already posted how to do so.